Federal Reserve Proposes New Regulatory Framework for Stablecoin Issuers

The Federal Reserve has introduced two new proposals to establish regulatory standards for stablecoin issuers under its supervision, following the enactment of the GENIUS Act signed by President Donald Trump in July 2025. The first proposal mandates that issuers maintain full reserves in safe, liquid assets such as short-term Treasury securities and meet standardized capital requirements to mitigate operational and credit risks. The second proposal outlines a formal application process for Board-supervised banks intending to issue payment stablecoins, including requirements for business plans and financial disclosures. The public comment period for these proposals will remain open for 60 days following their publication in the Federal Register.